The Future of Liquid Bulk in Port of Santos
Transcript of The Future of Liquid Bulk in Port of Santos
Recovery of confidence: 30 biddings & concession renewal, over US$ 4.2 Bi in commited investments for infrastructure projects since 2019
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Down
payment
Scope
Expected
CapEx
(1) Considers variable grant to be paid during the 30 years of concession (USD 480MM); (2) VIX30; AI01; AE10; AE11; STS20; STS13A; BEL02A; BEL02B; BEL04; BEL08; BEL 09; VDC12; PAR01; CDC (Fish Quay)
Airports
~US$ 1.1 Bi (1)
12 airports
~US$ 900 MM
Railway
~US$ 700 MM
1 railway (North-South
Brazilian connection)
1 concession renewal
~US$ 2.2 Bi
Port
terminals
~US$ 200.8 MM
14 port terminals(2)
~US$ 262.5 MM
Highway
(33.14% discount rate
over US$ 1.72 max tariff
/ 62% discount rate over
US$ 1.47 max tariff)
BR-364/365(437 km)
~US$ 850 MM
BR-101/SC (220.4 km)
Port of Santos’s location
SÃO PAULO THE LARGEST INDUSTRIAL,COMMERCIAL/FINANCIAL &CONSUMER CENTER IN BRAZIL
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Port of Santos’s natural hinterland
7567%
56%
MillionPeople
of Brazil s GDP
of the Brazilian Trade Balance ($)
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SHARE IN TRADE VOLUME (2019)
28%
SANTOS
24%
2ndto5th Paranaguá - PR7.0% - US$ 29.3 bi
São Luís - MA6.0% - US$ 22.7 bi
Vitória - ES6.0% - US$ 22.6 bi
Rio Grande - RS5.0% - US$ 20.6 bi
OTHERS
US$ 194.1 bi
BRAZIL US$ 401.3 bi FOB
US$ 111.8 bi
Port of Santos’s main infrastructure
61. 39 leased terminals, 6 private terminals (TUPs) and 8 retroport terminals2. Approximately + 200km Anchieta-Imigrantes system that connects the port of Santos to São Paulo
BerthsTotal: 64
Pier lengthTotal: 16 km
Pipelines: 55 kmRailways: 100 kmRoadway2: 20km
Channel depth: 15 mChannel length: 25 km
Terminals1
Total: 53
Terminals and troughputs
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CONTAINERS
BREAK BULK
LIQUID BULK
SOLID BULK
VEHICLES
PASSENGERS
THROUGHPUT (2019)
4.17 MM (TEU)
4.8 MM (ton)
16.9 MM (ton)
65.7 MM (ton)
198.6 k (units)
620 k (passengers)
DYN. CAPACITY (2019)
5.3 MM (TEU)
5.5 MM (ton)
17.4 MM (ton)
79.7 MM (ton)
300 k (units)
1 exclusive berth
THROUGHPUT (1stSemester 2020)
2.0 MM (TEU)
2.7 MM (ton)
8.9 MM (ton)
36.9 MM (ton)
66.6 k (units)
396 k (passengers)
Annual growth (CAGR): throughputs in Santos reached 134MM ton (2019), growth of 5% p.y. since 2009
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IN MILLION TONS CAGR: 4.88% p.y.
GENERAL CARGOLIQUID BULK
DRY BULK52.3%
35.1%
12.6%
(*) Until June
Only chemicalsand petrochemicals
13% 13.9% 13.3% 12.8% 12.6%
IN MILLION TONS IN MILLION TONS
Pandemic did not reduce cargo handling in Port of Santos, which in July broke the historical handling record, with 13.5 MM tons
SPA’s main actions for protection of the port community:
- Modernization of the Port of Santos Contingency Plan for public health events and creation of a crisis committee;
- 1st port in Brazil to enact practical drill on attendance to ships with suspected coronavirus infection;
- Collection of data from the port community and in loco enforcement of the Sanitary Authority's regulations;
- Substitution of the presential docking order meeting for a digital process;
- Mandatory supply of sanitary stations for every quay operation;
- Reinforcement of signage in public areas.
SPA’s main actions for protection of its employees:
- Implementation of home office for maximum possible number of workers (mandatory for those in risk groups);
- Acquisition of PPEs and definition of distancing rules for employees while in the company;
- Increase in cleaning frequency and on the offer of alcohol gel;
- Communication and information actions, as well as training of promoters in work posts.99
Government approved Port of Santos new Zoning and Development Plan, set to raise capacity in ~50% until 2040, to 240.6 million tons
• Designed to contemplate 100% of the hinterland’s projected cargo
• Consolidation of areas towards cargo clusters
• Rail system’s increase in participation on the overall numbers
Demand and capacity projection (MILLION TONS)
Rail %
33%
40%
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Estimated R$ 9.7 bi in investments needed within 5 – 10 years, split between terminals with ongoing contracts, 8 new area leases and highway and railway accesses
Expected investments in 8 new auctions & accesses (R$)
Total 7,185,512,000
1 STS 08A – operational in 2024 (4) 1,196,014,000
2 STS 08 – operational in 2024 (4) 209,618,000
3;4;5;6 New area leases, estimated operational until 2024 (3)
3,400,000,000
7 STS 14 – operational in 2023 (4) 186,886,000
8 STS 14A – operational in 2023 (4) 192,994,000
Highway and railway accesses 2,000,000,000
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Guarujá
Santos
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STS 08* (Liquid Bulk)Area: 137,319 m²Capex: R$ 209,618,000Contract term: 25 yearsFixed rate: R$ (Million) 1.5/monthVariable rate: R$ 9.35/tonAuction: 4th Quarter
STS 08A* (Liquid Bulk)Area: 305,688 m²Capex: R$ 1,196,014,000Contract term: 25 yearsFixed rate: R$ (Million) 3.2/monthVariable rate: R$ 7.13/tonAuction: 4th Quarter
Notice: (3) Preliminary values - In Study (SSZ39; SSZ31; SSZ25; TRA); (4) Notice/Auction’s date; (*) Data may change after evaluation by TCU 12
Liquid bulkAuctions of areas in Alemoa and terminal on Barnabé Island should mitigate the capacity deficit
• STS 08’s auction will allow implementaion of twoextra berths and additional storage in Alemoa
• Capacity improvement on Barnabé Island:engineering works planned in contract (1 extraberth). Implementation of up to 2 berths andadditional tanking storage.15.8 16.4 16.9 17.3 17.9 18.6 19.3 20.0 20.7 21.4 22.1
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20
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2020 2022 2024 2026 2028 2030 2032 2034 2036 2038 2040
Cargo Capacity
Considers terminal capacity improvement: Ageo Norte, Adonai, STS 08, STS 08A, STS 13A, Ultracargo-Tequimar, Vopak, Granel Química, Stolthaven
Liquid bulk forecast (IN MILLION TONS)
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Areas for liquid bulk operation in new PDZ
Current Future
Current capacity: 16 MM t Future capacity: 22.4 MM t+ 40%
Main changesLiquid bulk
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Av. Cons. Rodrigues Alves, s/nºMacuco — Santos/SP — Brasil
www.portodesantos.com.br